Can You Pay Rent With a Credit Card?

Yes, you can pay rent with a credit card, and in some cases, it might be a practical choice. Some credit cards may offer short-term benefits, such as rewards points or sign-up bonuses, when you spend a certain amount of money. However, the added fees and interest could make paying rent with a credit card more costly over time. Make sure you can comfortably afford your rent payments before relying on your credit card.

How to pay rent with a credit card

There are two main ways to pay rent with a credit card: through an online portal or a third-party service.

Direct payments through online portals

Zillow research shows that 65% of renters already pay online. Some landlords offer digital portals that accept both credit card and bank account (ACH) payments. These systems often let you set up recurring payments, track rent history, and receive reminders before rent is due. However, paying by credit card usually comes with a fee, typically between 2.5% and 3% of your rent.

If your landlord doesn’t offer the option of paying rent online, you can ask them to set up Zillow’s Rent Payment tool, which lets you pay rent online from a bank account, debit card, or credit card.  

Third-party services that enable you to pay with credit

If your landlord doesn’t accept credit card payments, you may use a third-party rent payment service that accepts credit cards and forwards payments to your landlord. These services let you pay rent with a credit card, then issue a bank transfer or paper check to your landlord. Some even offer rent reporting to help you build credit.

Expect to pay a processing fee of up to 3%, depending on the service and payment method you use. Do the math on what this means for your wallet each month. For example, if your rent is $1,800, a 2.95% fee adds $53.10 to your monthly payment. Some credit card issuers may consider a rent payment as a cash advance, rather than a purchase, which can come with higher fees and no rewards. As a best practice, confirm with your credit card issuer before using your credit card to pay for rent.

The pros of paying rent with a credit card

Using a credit card wisely can help you earn rewards and make payments more convenient. Here are some advantages of paying rent with a credit card:

Earn points, miles, or cash back

Many credit cards offer rewards for every dollar spent. If your credit card offers 1.5% cash back, paying $1,500 in rent would earn you $22.50 in rewards each month. Over time, those points or miles can help offset travel, gift cards, or everyday purchases. This is assuming there are no fees associated with paying rent with a credit card.  

Earn a sign-up bonus faster

Big welcome bonuses often require spending thousands in the first few months. Charging rent can help you reach that goal faster, without adding extra purchases to your budget.

Simplify your monthly payments

Using a credit card can make rent easier to manage. You can set up automatic payments, track your rent history in one place, and avoid late fees.

Flexibility during tight months

If your paycheck hits a few days after rent is due, a credit card could allow you to avoid paying a late fee. 

The risks of paying rent with a credit card

Paying rent with a credit card can lead to interest charges, added fees, and higher credit utilization.

High interest charges

If you don’t pay your credit card bill in full each month, you’ll be charged interest on the unpaid balance. Those charges can quickly offset any value you might earn from rewards or sign-up bonuses.

For example, if your card has a 29.99% APR and you carry a $2,000 rent payment for just one month, you could end up paying around $50 in interest — and that’s before factoring in any processing fees. Credit card interest is often higher than rates for other types of loans, which makes carrying a balance especially expensive over time.

Costly transaction fees

Most rent payments made by credit card come with a processing fee. In 2024, 27% of renters reported paying a payment processing fee. On a $2,000 payment, a 2.95% fee adds $59 each month. That’s over $700 a year!

Negative impact on credit score

Credit utilization, or the percentage of available credit being used, is a key factor in how your credit score is calculated. Rent is a large recurring expense. If it pushes the total balance over 30% of your limit, it could temporarily lower your credit score. However, if you pay your card in full each month and maintain a low average balance, the impact may be minimal or short-lived.

Should you pay rent with a credit card?

Paying rent with a credit card may be a convenient option that enables you to earn credit card reward points. However, using your credit card to pay rent may also come with additional transactional fees, which can cost you more each month. Generally, paying rent with a check or directly from your bank account is recommended, especially when you’re unable to pay your credit card balance in full each month. Nearly half of the largest credit card issuers reported offering credit cards with a maximum purchase APR over 30%, according to data cited by Consumer Finance, which means any unpaid balance will result in high interest payments on top of your initial purchases. 

When deciding whether you should pay rent with a credit card, consider the following:

• Can you pay your balance in full?
• Will the rent payment push you close to your credit card’s limit?
• Is the sign-up bonus or cashback rewards worth more than the transactional fee to use your card?

For most renters, the best approach is still the simplest: pay from your bank account, avoid interest and fees, and keep your credit card for spending you can repay.

If you’re exploring options, the Zillow^® rent payment tool lets you pay securely from a bank account, debit card, or credit card, and also gives you the option to report on-time positive rent to help build credit. In the end, the best choice is the one that works best for your budget and makes your life easier!